- Binance founder and former Chief Executive Officer Changpeng Zhao reiterates that Bitcoin wealth is built during periods of fear, uncertainty, and doubt, not when the market is in full swing.
- In his post, Zhao is not directly persuading investors to buy Bitcoin, but is trying to bolster faith in Bitcoin and reprogram how market participants assess risk and timing.
As Bitcoin begins to move closer to levels that ignite discussions about the prospects of another all-time high, Binance visionary and former CEO Changpeng “CZ” Zhao is urging investors to align their psychology with the progressions that led to previous price surges across different cycles. Writing online, Zhao reiterated that early Bitcoin investors did not impulsively dive into the market at the top, but bought in at times of negative market sentiment.
CZ Calls for a Rethink of Bitcoin Investment Timing
The recurrent mindset behind Bitcoin and other cryptocurrencies has always been one of late market participants wishing they joined earlier when an asset begins to make incredible returns on investment for earlier investors. However, it becomes ironic that when Bitcoin drops in value or hits lows, most of the wishful late market participants hardly invest in Bitcoin or crypto due to widespread fear, uncertainty, and doubt.
“When bitcoin was ATH, have you ever thought, ‘I wish I bought bitcoins early?’” asked CZ. “Guess what, those who bought early did not buy at ATH, they bought when there was fear, uncertainty, and doubt.”
By emphasizing that Bitcoin’s early investors experienced peak periods of fear, uncertainty, and doubt, rather than at all-time highs, CZ appears to be drawing attention to the importance of putting conviction and long-term prospects before emotions in making investment decisions. The message does just directly call for investments, but addresses the prevalent market psychology of average Bitcoin traders.
Recent Price Movements Signal Repositioning, Not Declining Confidence
2025 has been the best-performing year for Bitcoin in terms of value. In October, the premier cryptocurrency hit its all-time-high of $126,198, after which it experienced some resistance and has decelerated into a downward slope.
Analysts observe that Bitcoin is “showing clear signs of cooling” as the year wraps up. According to the visualization of address-based transactions, larger bitcoin holders are selling off in their numbers, most probably as a profit-taking mechanism or to abate projected risks.
However, with Bitcoin prices fluctuating between $86.7k and $90k in the past week, the price action dynamics appear healthy and ready for a possible take off that could move it close to its most recent ATH or surpass it.
While many large investors appear to be dumping their holdings amid the strong bearish market sentiments, reputable institutional holders like Michael Saylor’s Strategy are consistently adding to their Bitcoin stash. Similarly, countries like El Salvador have maintained a steady Bitcoin purchase, signaling long-term institutional faith in the prospects.
Meanwhile, spot Bitcoin ETFs have experienced significant net outflows in late December, totalling almost $500 million. However, given the BTC ETF holdings that are near all-time highs and net inflows which were almost as significant as the outflows, the market is most probably going through a repositioning rather than an outright loss of faith in Bitcoin’s prospects going forward.
